Ceragon Networks Ltd (CRNT)

[midastouch017]

Ceragon up guidance on good Q2 results
The company posted a net profit of $2.9 million on $37.3 million revenue and predicts 40% growth for the year.
Globes' correspondent 23 Jul 07 17:57
Wireless backhaul solutions provider Ceragon Networks (Nasdaq: CRNT) has raised its guidance for the year after publishing its financial report for the second quarter of 2007 today. The company now predicts 40% growth for the year to $152 million. The company posted $71.3 million revenue in the first half of the year, which means that it expects even faster growth during the second half.
Ceragon posted $37.3 million revenue for the second quarter, 58% more than for the corresponding quarter in 2006, and 10.1% more than for the preceding quarter. First half revenue was 58.5% more than for the first half of last year.

The company posted a GAAP-based net profit of $2.9 million ($0.10 per share) for the second quarter. Non-GAAP profit, excluding options, was $3.3 million ($0.11 per share). GAAP-based net profit was $0.18 per share for the first half of the year, and non-GAAP profit was $0.21 per share.

Ceragon had $32.8 million in cash and cash equivalents at the end of June.

Ceragon president and CEO Ira Palti said, "Our record second quarter results reflect continued accelerating demand for our wireless backhaul solutions. Within the overall strength in our served market, we are leading the shift to all-IP backhaul networks that constitute another significant source of future growth, and we are currently benefiting from several different growth drivers for our high-capacity SDH products. The key to capitalizing on these opportunities will be continuing our track record of superior execution. Our efforts remain concentrated on continuous innovation with emphasis on design-to-cost in our R&D activities, ongoing channel development and strengthening our direct sales capability, as well as strong supply chain management and overall operational excellence."

Published by Globes [online], Israel business news - www.globes.co.il - on July 23, 2007